The Laura and John Arnold Foundation has awarded a grant of more than $300,000 to the Fiscal Research Center and the Center for State and Local Finance at Georgia State University to evaluate taxes in Georgia and nationally.

The Fiscal Research Center received $150,652 to evaluate Georgia’s job tax credit, the state’s primary employment incentive.

Although states regularly use income tax credits to spur economic development efforts, there is little empirical evidence measuring the effectiveness of the credits.

The FRC study seeks to answer that question for Georgia, focusing on the effect the credit has had on employment and wages in the state from its inception in 1990.

The second grant project of $151,422, awarded to the Center for State and Local Finance, focuses on the overlapping taxing jurisdictions within large metropolitan counties. Leaders in these large jurisdictions often have the authority to make decisions that affect the revenue of multiple other jurisdictions within it.

Using case studies in Georgia and around the nation, CSLF researchers will illustrate the complex issues associated with overlapping jurisdictions, as well as create an evaluation guide to aid local government officials. The goal is to help county officials improve coordination of incentives and tax changes.

Both research projects are led by Laura Wheeler, a senior research associate at CSLF and FRC. The reports are expected to be completed by January 2019.